With the last budget announcing positive changes for pensioners and savers, do you know how this will affect you? As of 6^th April 2015, anyone wishing to access funds from their pension will only have to pay their marginal rate of income tax, as opposed to the previous rate of 55%. Accessing the first 25% of your pension remains tax free.

With the amount you can now draw down as one lump sum, or small pot, also increasing from £2,000 to £10,000, it is becoming even more important to seek professional financial advice. At Howell & Co, we can offer impartial guidance on what’s best for you; whether that’s purchasing an annuity; drawing down funds as and when or in one lump sum.

If you are self-employed, a company director or have property income or capital gains then you must submit a personal tax return and the deadlines are imminent! Paper returns are due by 31^st October this year and online returns are due by 31^st January 2015.

With the 31^st October paper deadline looming, it’s really important to register with HMRC for online filing if you need more time to complete your return. Any online returns filed after the 31^st January 2015 deadline will be subject to a late filing penalty, which can be easily avoided if you plan ahead. Howell & Co can offer advice and guidance on your personal tax liability, all relevant deadlines, as well as ensuring you are registered with HMRC.

Please note, if you want any tax due to be collected through the 2015 tax code, then your tax return has to be submitted online earlier, by 31^st December 2014.

“The owners of small family businesses are often very good at what they do; be it technical knowledge about their product or service, the production process or selling and marketing, but not always the financial aspects of running a business. Often they have a blind spot when it comes to admin and accounts. Sometimes this can be due to a lack of knowledge, or merely that running the business and doing what they are good at is more interesting or all-consuming.

“Small business owners who cannot afford to employ an in-house accountant should acknowledge that they cannot do everything and get help. In addition to helping with bookkeeping, a qualified external accountant will be able advise on sales growth and profitability; accounting systems; taxation; cash flow management; funding and, if necessary, business survival strategies. The effectiveness of this advice will depend on the accountant’s familiarity with both the owners and the business. The better the accountant knows the business, the better advice they can give.

“To do this there must be trust between the family and their external accountant. Business owners need to be able to trust the accountant enough to discuss matters affecting the business as well as in the owner’s personal life and what plans are in place for both. The accountant needs to know they are being told everything upfront and the business owner needs to know that having made full disclosure of any relevant matters the accountant will give them the best and most reliable advice available.

“The better the relationship between small family business owners and their accountant or other business advisor, the better the outcome. An accountant can produce year-end accounts and tax returns if that is all required but they can also help with so much more. They see a wide range of different types of businesses and can use that knowledge to give advice and new ideas on how to improve sales and profitability. They can assist in preparing strategic plans by asking the key questions to help businesses develop and grow.

“Many accountants provide a free consultation so I would advise those small family businesses without a trusted accountant to talk to a few and decide who is best suited – it can make all the difference.”